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=The Sixteenth Amendment= =By, Pamela, Thomas and Jamie=

Why was this amendment created? What problem was it supposed to solve?
This amendment was created to try to make taxation more fair. They used the money they collected to pay for war expenses. During the war they needed money to buy equipment for the soliders and other supplies and ammunitions. The amendment was supposed to be temporary just to raise enough money to support the soldiers but they made it offical when they needed more money for the states.



When was it created? What was going on in the country at that time?
This amendment was proposed on July 12, 1909 and ratifed on February 3, 1913. The Civil War was going on at that time so they needed the money to pay for war. It finally became a part of the Constitution on February 25,1913.

Salmon P. Chase wrote this amendment. He was the secretary of the U.S. Treasury under President Lincoln.
 * Who created this amendment?**

The govenment raising and collecting income taxes from people and companies. They need this money to pay for government projects and other events that are happening in the state or country. Also when you buy items at stores you get charged a sales tax that goes to the government.
 * What is an example of this issue?**[[image:http://www.vladkolarov.com/portfolio/cartoon-pictures/comic-illustration/cartoon-illustration-13.gif width="143" height="135" caption="Tax Collector"]]

Direct tax- when you pay your tax straight to the government that you are expected to pay. Indirect tax- when you pay your tax to the government indirectly such as a sales tax. Also known as a regressive tax. Property tax- ( direct tax ) tax on property ( land ) Income taxes such as individual and corporate income taxes Sales tax- ( indirect tax ) an added tax when you buy something at any store Excise tax- a tax on certain goods that are used for luxury ( tobacco, alcohol, sugar ) Tariff- tax on imported goods ( domestic goods )
 * Types of taxes:**


 * Income Taxes**


 * The original Constitution required direct taxes to be apportioned (divded) among the states in accordance (according to) with population.
 * An income tax is not so apportioned, so the amendment was needed to authorize such parts of the income tax as would constitute "direct" taxes.

As you can see in the chart above it shows that people spend more money on income taxes than anyother tax. In one of the videos below it shows 2 people that are having an argrument about income taxes. The man brings up the point that people spend more money on income taxes than food. This happens to be a proven fact. This argrument still goes on today. Sometime you might see people on the street protesting about the high taxes. This is why many people like tax cuts. That means they pay less for taxes. Now what most people do is that before they get their pay check they get their taxes taken out of it before they receive it.



Before income taxes, the government used tariffs to get the money they needed. Tariffs were used to increase the price of imported goods. In the North there were many factories that made many goods especially products that were used for farming. The people were here were happy that they had the tariffs because they got alot of money from them since they made the prices of these goods go up. Almost everyone in the North benefitted from these tariffs. However in the West and South more people were farmers. They had to buy the imported goods and for a higher price. They did not make or sell the goods that they had to buy so they had to pay more money to get them. These farmers were not happy about the tariffs.
 * Tariff problems**

In 1877 a group of Texas farmers gathered together and made an alliance which they called the "Farmer's Alliance". In this group they talked about their problem with the taxes and they made political plans. Their situation soon became worse. While the prices of their supplies kept on going up, the number of crops they sold went down. There were so many of these alliance that one day all of the people gathered in Omaha, Nebraska to pick a president for the group. After the meeting they called themselves the Populist, or People's Party. In this party they join togethered and dicussed the things that they wanted to change. They wanted to put power back in the hands of the people. The party also wanted to more coins and more paper money. They also wanted the government to elect senators that would be elected by the people. The senators would have to make pensions, begin immigration reforms and change some laws. One of the most important thing thay wanted was a progressive income tax. This tax would mean that if you had low income you would be able to pay less for your income tax. Many people liked this better than a regressive tax ( sales tax ) because everyone didn't have to pay the same amount of money for this type of tax.
 * Farmer's Alliance and the Populist Party**

How do the issues that prompted the creation of the amendment compare with the issues that they are applied to today?//** The issues that helped the creation of the amendment are similar to the issues today. When this amendment was created the govenment was trying to pay for a war. The govenment still uses our income tax money to pay for the cost of war and community services such as police officers and others. They also use this money for projects throughout the country. The government uses these taxes for our own benefit. Some people didn't like the taxes back them and even now some people don't like them but it's for our own needs.
 * //Essential Question

Some Videos about the 16th Amendment
http://video.google.com/videoplay?docid=1345278869069317719&q=16th+amendment&total=147&start=60&num=10&so=0&type=search&plindex=2 income tax argrument http://video.google.com/videoplay?docid=-5632613479529663280&q=taxes&total=22427&start=0&num=10&so=0&type=search&plindex=0 The tax song http://video.google.com/videoplay?docid=5799645933559822427&q=tax&total=16662&start=0&num=10&so=0&type=search&plindex=7 Tax rap by a tax collectors point of view http://video.google.com/videoplay?docid=2838737393253523166&q=save+to+the+max&total=754&start=0&num=10&so=0&type=search&plindex=0 Tax rap cartoon style http://video.google.com/videoplay?docid=7514070907892823589&q=income+tax&total=1700&start=0&num=10&so=0&type=search&plindex=7 J.F.K.Tax cut

Current event summaries
1.__Income tax cuts benifits all payers__ By, Thomas http://www.usatoday.com/money/perfi/taxes/2006-10-02-taxes-usat_x.htm this article says all americans of every income benifits from the drop of federal income tax rates. A tax payer with an income of $35000 in the year 2000 would have payed $2,989. In the year 2004 that same tax payer would have to pay $1,792. At the higher end a tax payer who earned $70000 in 2000 would have payed $5978. In 2004 that same tax payer would have to pay $3584. As you can see the income tax has lowered a lot from the year 2000 to the year 2004. My opinion: I think agree that we should all realize that the income tax is lowered and we should not complain.

2. __For small-business owners, income tax filing season should start right now, not in April__ By, Pamela http://search.thejournalnews.com/sp?eId=100&gcId=24051113&rNum=5&url=http%3A%2F%2Fwww.thejournalnews.com%2Fapps%2Fpbcs.dll%2Farticle%3FAID%3D2008801070320&siteIdType=2 The article talks about how most tax payers start getting ready for their taxes once the tax season starts. Many people in this article talk about how you should start saving your money earlier so you won't have to deal with the aggravation later. If you are better organized you will be able to handle your money better than before. The article says that usually bussiness owners' income tax season is very crazy. My opinion: I agree with the author of this article. You should always start saving now instaed of waiting until the last minute. If you become better organizedYou will also will know what to do when the next tax season comes.

3. __A recovered addict struggles to keep his home__ By, Pamela http://www.nytimes.com/2008/01/13/nyregion/13neediest.html?scp=2&sq=income+taxes Mr.Crumity is recovering from lung cancer. He smoked like the rest of his family did. When he got lung cancer he also had diabetes, asthma and other health problems. He has to take a bunch of mediactions to keep him healthy. He is still recovering from chemotherapy and while that therapy he was force to quit his job. He also had to pay his rent. On top of that he had to pay income taxes. He got help from a society who helps needy people. They send him $63 worth of food stamps a month so he actually has something to eat. My opinion: I feel bad fot his man beacuse he is very old and has to pay so much money. I'm glad that there is a society supported by the government that actually helps people that are in desperate need like Mr.Crumity. He has to pay for all his medications and the rent for his apartment.

To find more information about this amendment go to this link: http://en.wikipedia.org/wiki/Sixteenth_Amendment_to_the_United_States_Constitution